HubSpot (NYSE:HUBS) Rating Lowered to "Neutral" at JPMorgan Chase & Co.

Key Points

• JPMorgan downgraded HubSpot from “overweight” to “neutral” and set a $240 price target, implying approximately 8.86% upside. The broader analyst consensus is “Hold,” with a $264.65 average target.
• HubSpot’s latest results exceeded expectations, with EPS of $3.26 versus a $3.02 consensus and revenue of $911.74 million, up 19.8% year over year. The company reaffirmed its 2026 outlook, though revenue guidance is roughly in line with estimates.
• Investor sentiment remains mixed as HubSpot plans to eliminate about 660 jobs, or 7% of its workforce, to streamline operations and focus on AI; restructuring costs are expected to reach $65 million-$75 million. Insiders have also sold shares totaling nearly $6 million in the past quarter.

HubSpot (NYSE:HUBS - Get Free Report) was downgraded by analysts at JPMorgan Chase & Co. from an "overweight" rating to a "neutral" rating in a research report issued on Thursday, Marketbeat reports. They currently have a $240.00 target price on the software maker's stock. JPMorgan Chase & Co.'s price objective points to a potential upside of 8.86% from the company's current price.

A number of other equities research analysts also recently commented on HUBS. Wolfe Research downgraded shares of HubSpot from an "outperform" rating to a "peer perform" rating in a report on Thursday, August 6th. Canaccord Genuity Group reduced their target price on shares of HubSpot from $335.00 to $300.00 and set a "buy" rating on the stock in a report on Thursday, August 6th. BTIG Research reissued a "buy" rating and issued a $250.00 price objective on shares of HubSpot in a research report on Friday, September 18th. Zacks Research lowered HubSpot from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 12th. Finally, Royal Bank Of Canada reiterated an "outperform" rating on shares of HubSpot in a research report on Tuesday. Thirteen investment analysts have rated the stock with a Buy rating, nineteen have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $264.65.

HubSpot Stock Performance

HUBS opened at $220.46 on Thursday. HubSpot has a one year low of $169.63 and a one year high of $497.96. The business's fifty day moving average is $230.54 and its two-hundred day moving average is $218.43. The company has a market cap of $10.99 billion, a price-to-earnings ratio of 77.90, a PEG ratio of 2.26 and a beta of 1.24.

HubSpot (NYSE:HUBS - Get Free Report) last posted its earnings results on Wednesday, August 5th. The software maker reported $3.26 earnings per share for the quarter, beating the consensus estimate of $3.02 by $0.24. HubSpot had a net margin of 4.26% and a return on equity of 8.66%. The firm had revenue of $911.74 million during the quarter, compared to the consensus estimate of $898.31 million. During the same period last year, the firm posted $2.19 EPS. The firm's revenue for the quarter was up 19.8% on a year-over-year basis. HubSpot has set its FY 2026 guidance at 13.230-13.310 EPS and its Q3 2026 guidance at 3.250-3.270 EPS. On average, analysts predict that HubSpot will post 4.59 EPS for the current fiscal year.

Insider Buying and Selling

In other HubSpot news, insider Erika Fisher sold 702 shares of the business's stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $235.22, for a total transaction of $165,124.44. Following the sale, the insider owned 14,581 shares in the company, valued at approximately $3,429,742.82. The trade was a 4.59% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Brian Halligan sold 8,500 shares of the business's stock in a transaction that occurred on Tuesday, July 21st. The shares were sold at an average price of $221.09, for a total transaction of $1,879,265.00. Following the sale, the director owned 85,000 shares in the company, valued at $18,792,650. This represents a 9.09% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 26,202 shares of company stock valued at $5,998,079. 3.70% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On HubSpot

Institutional investors and hedge funds have recently modified their holdings of the stock. Elevation Wealth Partners LLC grew its stake in HubSpot by 66.7% in the third quarter. Elevation Wealth Partners LLC now owns 175 shares of the software maker's stock valued at $36,000 after purchasing an additional 70 shares in the last quarter. Reflection Asset Management acquired a new stake in shares of HubSpot in the fourth quarter valued at about $37,000. Global Retirement Partners LLC acquired a new position in shares of HubSpot during the second quarter worth approximately $38,000. CX Institutional raised its stake in HubSpot by 4,785.7% during the 2nd quarter. CX Institutional now owns 342 shares of the software maker's stock valued at $62,000 after purchasing an additional 335 shares during the last quarter. Finally, Oslo Pensjonsforsikring AS bought a new stake in shares of HubSpot in the first quarter valued at about $74,000. 90.39% of the stock is currently owned by hedge funds and other institutional investors.

HubSpot News Roundup

Here are the key news stories impacting HubSpot this week:

• Positive Sentiment: HubSpot is eliminating approximately 660 positions, or 7% of its workforce, as part of a restructuring intended to streamline operations and support AI-focused offerings. Management reaffirmed its third-quarter and full-year 2026 outlook, suggesting the cuts are not currently forcing a reduction in expected results. The company expects $65 million to $75 million in restructuring charges, primarily in the fourth quarter, while potential longer-term cost savings could support margins. HubSpot reaffirms 2026 guidance as it cuts about 7% of workforce
• Positive Sentiment: Needham & Company reaffirmed its “buy” rating and assigned a $300 price target, implying substantial upside from the stock’s recent level. Zacks also highlighted HubSpot as a strong growth stock, supported by its recurring-revenue business and continued expansion. Here's Why HubSpot is a Strong Growth Stock
• Neutral Sentiment: HubSpot raised or maintained third-quarter EPS guidance at $3.25-$3.27, above the $2.80 consensus estimate, but revenue guidance of $924 million-$925 million is slightly below the $925.2 million consensus. The company also reaffirmed full-year 2026 guidance, providing some stability despite the restructuring.
• Negative Sentiment: The layoffs are weighing on sentiment because they underscore pressure to reorganize the business around AI and could create execution, employee-retention, and transition risks. The $65 million-$75 million restructuring expense will also weigh on near-term results. HubSpot layoffs and AI restructuring
• Negative Sentiment: Cantor Fitzgerald maintained a “neutral” rating and set a $200 price target, below the recent share price. The cautious target contrasts with Needham’s bullish view and indicates that analysts remain divided over HubSpot’s valuation and AI transition. HubSpot keeps Neutral rating at Cantor Fitzgerald

HubSpot Company Profile

HubSpot, Inc develops customer relationship management (CRM) software and related tools designed to help businesses attract, engage and retain customers. Its cloud-based platform brings together marketing, sales, customer service, content management, operations and commerce capabilities, allowing organizations to manage customer interactions across the business.

The company's products include tools for marketing automation, email marketing, lead generation, sales pipeline management, customer support, website and content management, analytics, payments and business operations.

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